FxWirePro- Gold Daily Outlook

Ichimoku Analysis (4 Hour chart)

Tenken-Sen- $2299

Kijun-Sen- $2306

Gold showed a minor pullback after the dismal US Nonfarm payrolls data. It hit a high of $2320.74 yesterday and is currently trading around $2316.8.

US economic data

US Non-farm payroll- Weak (Bullish for gold)

The dismal US jobs data has increased the chance of a rate cut by the Fed this year.

According to the CME Fed watch tool, the probability of a no-rate cut in June increased to 91.6% from 88.90% a week ago.

 US dollar index- Bearish. Minor support around 104.50/103.80. The near-term resistance is 105.50/106.50.

   Factors to watch for gold price action-

   Global stock market- Bullish (negative for gold)

  US dollar index - Bearish (positive for gold)

  US10-year bond yield- Bearish (negative for gold)

Technical:

The near–term support is around $2280, a break below the targets of $2260/$2225/$2195. The yellow metal faces minor resistance around $2330 and a breach above will take it to the next level of $2350/$2375/$2400/$2420/$2450.

It is good to buy on dips around $2300 with SL around $2280 for TP of $2400.